By Ahmed Abdelsalam
UK businesses have incurred a £7.7bn cost from Brexit-related red tape over four years, according to official customs data analysed by the Liberal Democrats.
Customs declaration costs surge
HMRC figures show the administrative cost of import and export customs declarations reached £1.8bn in 2022 alone. Applying a benchmark cost of £48 per declaration to the 160.4 million declarations filed between 2022 and 2025 brings the total to at least £7.7bn.
Paperwork burden hits trade
The mountain of paperwork has been linked to a sharp decline in trade with the EU. Retailer Marks & Spencer said it had to rent a warehouse solely to store the required documents.
Liberal Democrats highlight economic drag
Liberal Democrat Europe spokesperson Al Pinkerton, who obtained the figures, said the numbers lay bare the crushing price of bureaucracy holding back the economy. He added that billions meant for jobs and innovation are being swallowed by Brexit red tape, noting the prime minister has acknowledged pointless paperwork should not strangle business.
Partial relief from agricultural deal
Greater Manchester Mayor Andy Burnham is expected to sign an agricultural foods agreement with the EU later this month, though officials say it will only reduce a portion of the costs across most sectors.
The findings fuel a campaign to rebuild the UK's relationship with Europe.
